Roads Australia
The Rudd Government’s first Budget has promised an initial $20 billion for critical national transport and communications infrastructure, but industry will have to wait a little longer for details of how and where the money will be spent.
According to Infrastructure and Transport Minister, Anthony Albanese, the initial round of funding allocations from the Building Australia Fund won’t be made until 2009-10, and will largely hinge on the results of Infrastructure Australia’s national audit and priority assessment, which will be delivered to COAG in March 2009.
On the budget surplus...
“We have honoured our commitment to deliver a budget surplus of at least 1.5 per cent of GDP, and gone further to budget for a surplus of 1.8 per cent.
The Government is reducing spending on programs that do not meet our objectives in the most cost‑effective manner.
We are applying an additional two per cent efficiency dividend to most Australian Government agencies, producing savings of $1.8 billion over five years.
Every single dollar of new spending is more than offset by savings. We have delivered our commitments by redirecting spending to more pressing priorities.”
On education and skills...
“Just one year ago...we promised $2.5 billion for Trade Training Centres in our schools. Tonight it gives us immense pleasure to announce we are funding that promise...
...Our Skilling Australia program will increase and deepen the skills capacity of the Australian workforce. A key initiative is the provision of $1.9 billion over five years to deliver up to 630,000 additional training places to fill skills shortages.
And to boost the research capacity that underpins innovation, we will invest $326 million on Future Fellowships for top mid‑career researchers, and $209 million to double the number of Australian Postgraduate Awards for PhD or Masters students.”
On the Building Australia fund...
“The Building Australia Fund will finance critical national transport and communications infrastructure, including roads, rail, ports and broadband, that is not being provided by the private sector or the States.
The Building Australia Fund will receive an initial allocation of around $20 billion.
So that investment can begin immediately, tonight I announce that the Government will allocate $75 million in 2007‑08 for immediate feasibility studies on high‑priority transport projects across Australia. This will begin the necessary planning work for key projects in advance of further deliberations by Infrastructure Australia.”
On the Education Investment Fund...
“...the Education Investment Fund will finance capital investment in higher education and vocational education and training.
It will receive an initial allocation of around $11 billion, including $6 billion from the Higher Education Endowment Fund.
Our education infrastructure is in urgent need of attention, right now. So tonight I announce that the Government will provide additional capital funding of $500 million before the end of this financial year, to help universities upgrade and maintain teaching and research facilities.”
On the COAG Reform Fund...
“Where funds are used to finance capital projects with the States, they will be distributed to the States from the three new funds I have just announced through a new Council of Australian Governments (COAG) Reform Fund.
The COAG Reform Fund will also distribute funding provided in future budgets to the States for recurrent expenditure in areas of COAG national reforms, through new National Partnership payments.
In 2008‑09, the States will receive $78.6 billion in total payments, an increase of 4.8 per cent. And new financial arrangements will allow all levels of government to work together to improve outcomes and reduce costs.”
On tax reform...
“...the most comprehensive review of Australia's tax system since World War 2. The Australia's Future Tax System (AFTS) review will be reporting progressively from this July through to the end of 2009.”
On business regulation....
“This Budget confirms our commitment to a comprehensive agenda of regulation reform - cutting red tape and making it easier for business, particularly small business, to deal with government.”
On the Building Australia Fund....
“Having determined the quantum of our initial deposit, the Government will now spend the coming months finalising the Fund's governance arrangements.
We expect to have the Fund up and running by 1 January 2009, with the first allocations to be made in 2009-10.
Allocations from the Fund will be guided by Infrastructure Australia's national audit and infrastructure priority list, the first of which will be presented to the March 2009 meeting of COAG.”
On Infrastructure Australia....
“The 2008-09 Budget allocates $20 million over four years to Infrastructure Australia to develop a strategic blueprint for easing bottlenecks and addressing the nation's long-term infrastructure needs.”
On road funding....
“The Rudd Government will invest $3.2 billion in nation-building road and rail projects across the country, including over half a billion dollars to make an early start on election commitments.
"Highlights of our 2008-09 investment program are:
On urban congestion and planning....
“This financial year (2007-08) we will provide $75 million so the states can undertake a series of extensive studies into a number of landmark projects which have the potential to transform the face of our cities and the productivity of our economy.
On top of this federal contribution, the states have agreed to kick in a further $57.5 million, bringing the total investment to $132.5 million.”
New South Wales
Victoria
South Australia
Western Australia
Queensland
For full Budget papers, speeches and ministerial statements, go to the Commonwealth's budget website, www.budget.gov.au/
Submitted by Mark Bowmer on Wednesday May 14th 2008 6:39am
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